foreclosure

Senators Ray Lesniak and Barbara Buono have introduced legislation (S-1566) to transform foreclosed homes into affordable housing. The bill would create the New Jersey Foreclosure Relief Corporation and would allow municipalities to buy foreclosed houses through the state’s $268 million affordable housing trust fund, and thereby earn two-for-one credit toward their affordable housing obligations. If municipalities decide not to buy the vacant homes, the Corporation would be able to purchase them through federal and state financing sources and deed restrict them as affordable housing for three decades. » Read More

The Great Recession has resulted in an inevitable increase in commercial loan defaults (See my post of November 15, 2010, “Lender/Tenant Concerns When a Landlord Defaults on Its Mortgage“). Any lender will tell you that it would rather avoid foreclosure for obvious reasons. Foreclosure is an expensive, lengthy, and sometimes risky process. A deed in lieu of foreclosure may be a viable alternative under the right circumstances, and its use in the commercial real estate market is on the rise.» Read More

Many people are in the dark when it comes to tax sales, including many lawyers. Because municipal governments depend upon real estate taxes and other related assessments as their primary source of revenue, when those taxes remain unpaid for a period of time, the municipality is granted a continuous lien on the land for the delinquent amount, as well as for all subsequent taxes, interest, penalties, and costs of collection. » Read More